Tag: maldives news

President sacks economic minister

President Mohamed Nasheed has dismissed Minister of Trade and Economic Development Mohamed Rasheed from his post.

Rasheed belongs to the Gaumee Iththihaad Party (GIP), the same party as Vice President Mohamed Waheed Hassan, who has publicly voiced criticisms of the government and recently led a political rally to boost support for his party.

The President’s Spokesman Mohamed Zuhair said Nasheed has made the decision “based on the existing political realities on the ground.”

“It is nothing personal against the economic minister, and nothing to do with his performance,” Zuhair emphasised, although he noted that a likely outcome would be restructuring of the Ministry to be more “result-oriented”.

The decision to remove Rasheed from cabinet was made over the weekend but announced this morning, he said.

Meanwhile, staff at the ministry were “in shock” this morning, reported Permanent Secretary Yousuf Riza.

“[Rasheed] is no longer coming to the office, but the Ministry will continue to function,” Riza said.

“We will continue issuing trade and investment permits, however the Minister’s dismissal will hamper decisions about policy.”

DRP Spokesman and Deputy Leader Ibrahim “Mavota” Shareef meanwhile claimed the dismissal was because of the “obvious friction between the President and his Vice President. I heard [Rasheed] was dismissed because he was asked to sign with the ruling party and refused.”

“Rasheed is one of the most qualified people in the government, and he has been dismissed for no apparent reason. As long as a minister does his job properly there is no reason to dismiss him,” Shareef said.

“I think this is very sad this is happening. We might be the opposition party but we do not have any ill will towards the government.”

Amid speculation that Rasheed’s removal was due to the icy drop in temperature between GIP and MDP, a senior government source suggested it was more likely that the dismissal was part of a “larger picture – something to do with [MDP’s] declining support in the Majlis to the point where it has become ineffective. They need support.”

The recent scuttling of MDP’s provinces bill in parliament is a sore blow to one the party’s key pledges, the decentralisation of government.

No replacements have yet been put forward: “The president has time before choosing a new minister to put forward for parliamentary approval,” Zuhair claimed.

Mahmoud Razee, currently Minister for Civil Aviation and Communications, is one potential candidate, given his proven palatability with parliament and work on the privatisation committee. Razee was promoted to his current role after the dismissal of another minister, Dr Mohamed Jameel Ahmed.

However, MDP Spokesman Ahmed Haleem revealed that the party had begun talking to the People’s Alliance (PA), currently in coalition with the opposition DRP, seeking the party’s support in passing a new economic minister through parliament.

“DRP are always against us and they have control of a lot of the media,” Haleem said. “But [PA leader] Abdulla Yameen has some commitment to the people – he was trade minister in 1998, he is an economist and he is well educated. I think he is OK.”

The Maldivian economy was sorely troubled “and a lot of people are suffering very badly and are very poor,” Haleem said. “[MDP and PA] have the same goal, we want to stabilise the economy and we are looking for support. Yameen’s seven members could support the parliamentary approval of a new minister.”

Vice President Mohamed Waheed Hassan declined to comment on the matter, and Mohamed Rasheed did not responded to calls at time of press.

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UK election: hung parliament opens door to ‘ConDem’ coalition

The UK election has concluded in a hung parliament, the first in 36 years, with neither of the three primary parties having enough of a majority to form a government, in a situation that has both political pundits and electoral authorities scratching their heads.

David Cameron’s Conservative party, upon which the current Maldivian government’s economic policy is modelled, made substantial gains across the country, taking 305  seats, but fell short of 21 to reach a majority.

The ruling Labour government, headed by Gordon Brown, suffered a staggering loss of 91 seats but was not as scalded as many commentators had predicted, finishing on 258.

Both parties have now turned to the Liberal Democrats, headed by Nick Clegg, in the hopes of creating a coalition government stable enough to see off the opposition.

Given the widespread dissatisfaction with Labour over the expenses scandal, handling of the economic meltdown and its Middle East foreign policy, many commentators expected the Liberal Democrats to perform far better than they actually did among disgruntled Labour voters. The party took 57 seats, an overall loss of five on the previous election, but the result has effectively put Clegg in the position of kingmaker.

Both Brown and Cameron have already approached Clegg with offers of a coalition government, offering concessions around education, carbon cuts and tax reform, as well as an inquiry into electoral reform, the Liberal Democrat’s main point of contention.

On the surface the policies of the Liberal Democrats mesh far better with those   than the ‘small government’ Conservative, however Clegg has already positioned the Liberal Democrats as Labour alternative, vilifying the party in an attempt to lure dissatisfied voters. A ‘ConDem’ coalition is far more likely, however Clegg’s key supporters are likely to regard such a move as a ‘pact with the devil’.

Major disagreements include standing on the EU, immigration, public spending cuts of £6 billion and defence – areas on which Cameron has said he will not budge.

If a deal cannot be reached, it is likely a second election will be held – a not unwelcome outcome for the many thousands of voters who complained they had been unable to vote before the closing time of 10pm because of long queues, mismanagement and capacity problems at polling booths.

The uncertainty over the country’s political future has caused shares to plummet along with the pound and the FTSE-100, which dropped 138 points.

Meanwhile, as per protocol, the Queen is waiting on the sidelines in Buckingham Palace for the moment she will invite one of the party leaders to form a government.

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CSC and political appointees: Pay cuts (Part II)

In part two of our comparisons between salaries of political appointees and civil servants, Minivan News examines the pay cuts initiated last year, parliament and the government’s promotion of state-owned companies.

The figures reported by Minivan News yesterday represented the fixed salaries of both political appointees and civil servants. The pay cuts made to salaries last October meant a 20 percent reduction for political appointees and a 15 percent reduction to civil servants’ salaries.

Press Secretary for the President’s Office, Mohamed Zuahir, said starting on 13 May 2010, civil servants and political appointees will get a 7 percent reimbursement from the government, which will go into a pension fund.

“Meaning those who had a 15 percent reduction will now only have an 8 percent reduction,” Zuhair noted.

Most members of the civil service are in the middle management services, who earn anywhere from Rf 7,680 to Rf 10,106 after the pay cuts. This rank includes directors, senior technical officers and deputy and assistant directors.

The wages of Permanent Secretaries have also been queried, as they are civil servants working for political appointees. They are not in the regular structure but are linked to deputy ministers.

Their fixed salaries were originally of Rf 20,500 plus Rf 15,000 for allowances. After the 20 percent pay cut which started in October 2009, they now earn a total of Rf 28,400 a month. This makes permanent secretaries the highest paid members of the civil service, followed by professors who now earn Rf 20,280 after the pay cuts.

Civil servants and political appointees

The figures obtained by Minivan News show the highest number of political appointees are island councillors, with 168 across the country. After the pay cuts, they are making Rf 9,600. In total, the government is spending Rf 1,612,800 per month on island councillor’s salaries alone.

The figures also show that 35 state ministers and 55 deputy ministers are currently working for the government. State ministers are currently being paid Rf 37,600 a month, while deputy ministers get  Rf 28,400 per month, after the 20 percent salary reductions.

Together, the wages for state and deputy ministers add up to Rf 2,878,000 per month.

Despite Parliament’s decision to pass the decentralisation bill without the provinces act, and the government’s promise to reduce political appointees, former Utility Development Director at the President’s Office, Ahmed Nasheed, was appointed Deputy Minister of State for the South-Central Province yesterday.

His wages bring the figure up to Rf 2,906,400 each month.

Government-owned companies

Another point of contention has been the creation of government-owned companies which have been transferred from the civil service, such as the Malé Health Services Corporation.

Those who are critical of the salary cuts for civil servants have argued the government is still technically paying the wages of those working in these companies, which means government expenditure on wages has not reduced.

Zuhair said the creation of these companies was not only to reduce the civil service, but “it is also a more practical model.”

He said these companies are “self-sufficient and depend on earnings as a commercially viable business,” and are now relying more on Private Public Partnerships (PPPs) than on government subsidies.

Zuhair noted although many state-owned companies such as STELCO were receiving government subsidies in the past, new policies mean they will not be subsidised any more. “MNBC salaries were given out based on revenue,” he added.

Parliament

MPs are currently earning Rf 62,500 a month, and are among the few sectors paid by the state who did not take a pay cut last year.

Parliamentary sittings take place three days a week, and there are three Parliament sessions a year. The sessions are held for three months and are followed by a one-month break.

Maldivian Democratic Party (MDP) MP for Hoarafushi, Ahmed Rasheed, said he would not support a reduction to MPs’ salary cuts because he is always helping his constituents by giving them money of his salary. “I am not using a single rufiyah from my salary,” he said. “Last month, I spent Rf 134,600 for my island’s people. When you look at it like that, 62,500 is not much.”

Rasheed said this money was used mostly for medical purposes, including bills from IGMH and even air fares to Sri Lanka for medical treatment.

He said people from his island “are very poor, and right now they don’t know what to do.”

Dhivehi Rayyithunge Party (DRP) MP for Galolhu South, Ahmed Mahlouf, said if the economic situation was really that bad, “then yes, of course we would agree with lowering our salaries.” But, he said, “DRP and other opposition MPs don’t believe that the salary of any servant should be reduced.”

He said “Maldives is not going through such a bad economic stage,” adding that “even during the tsunami salaries weren’t reduced.”

Mahlouf said no one’s salaries should have been reduced, and “if we agreed to reduce it, it would mean we agree with the economic situation being that bad. That is why we are fighting for their rights.”

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National Art Gallery functions transferred to National Centre for the Arts

The functions of the National Art Gallery have been transferred to the National Centre for the Arts, operating under the Ministry of Tourism, Arts and Culture.

The National Art Gallery will not be administered separately but as an office of the National Centre for the Arts.

The change was made to eliminate duplication of work by the art gallery and the centre, thus reducing the costs of managing the gallery.

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Police give information sessions at schools in Malé

The Community Engagement and Crime Prevention Department alongside the Traffic Police offered information sessions about crime prevention for teachers and students of several schools, reports Miadhu.

On 27-28 April, students from grades 1-5 of Ghiyaasuddin School were given information on traffic rules and regulations. Police officers showcased the resources used by Traffic Police to students from grades 1-3.

On 25, 27 and 29 April, police held another session at Jamaaluddin School for grade 7 students. They focused on traffic regulations, school behaviour like bullying, and criminal and unethical behaviour on the internet.

Another information session on bullying was held today with teachers at Aminiya School. They were informed about the effects of bullying on children, and how to handle incidents.

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Khalifa Foundation to create Maldives Distance Medical Services

Deputy Chairman of UAE’s Khalifa Foundation, Ahmed Juma Al-Zaabi, signed an agreement with State Minister of Foreign Affairs, Ahmed Naseem, to grant the Maldives Distance Medical Services, reports Miadhu.

The foundation has many humanitarian initiatives around the world, aiming to fund sustainable projects that create jobs and raise standards of basic services like health and education in aid recipient countries.

The Khalifa bin Zayed Distance Medical Services project will include a network of 35 sites across the Maldives. The nursing department at the faculty of medicine will be named after Sheikh Khalifa.

The project will have a central base and several outposts. Doctors at the main centre will overlook reports made by nurses in the outposts and prescribe treatment. It is expected the service will provide medical attention to over 350,000 persons a year, according to Miadhu.

The grant will train local doctors, technicians and biotechnology specialists.

Chairman of the foundation, Sheikh Mansour bin Zayed Al-Nahyan, said the project fits well with the foundation’s strategy to not only assist but build infrastructure which will improve living standards and create jobs.

He added the different outposts would ease the logistics in health care for distant islands.

Minister Naseem said the grant would improve living conditions for thousands of people living in the islands and remote regions of the country which are difficult to access.

It would also train hundreds of medical and nursing staff, Naseem added.

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CSC and political appointees: what they get paid (Part I)

Eight months after civil servants got their first pay cut, the political situation has deteriorated with law suits between the Civil Service Commission (CSC) and the Ministry of Finance.

President Mohamed Nasheed promised to reduce government expenditure, primarily by reducing the civil service and increasing privatisation in the country, and several privatisation partnerships are seeing the transfer of posts from the civil service to government-owned institutions.

Many opposed to the civil servant salary cuts have speculated about the amount paid to political appointees, arguing that it is unfair to cut civil servant salaries while paying large salaries and allowances to appointees. Minivan News has obtained the figures from both sides for the sake of comparison.

The civil service VS political appointees

The Maldivian government is currently spending approximately Rf 5 billion on civil servant salaries per year, approximately 74 percent of the Rf 6.8 billion budget. There are over 29,000 civil servants in the Maldives, comprising almost 10 percent of the population.

Documents obtained by Minivan News show that comparatively the government spends approximately Rf 173 million on the salaries of 354 political appointees per year, and around Rf 75.8 million on salaries for 77 MPs each year.

Labourers earn Rf 4,100 a month with the civil service, the lowest paying job in the CSC. The lowest paying job for political appointees is that of island councillors, who make Rf 12,000 a month.

The highest paying job under the CSC is that of a professor, with earnings of Rf 25,350 a month. Excluding the president and vice president, who earn Rf 100,000 and Rf 75,000 a month respectively, cabinet ministers earn Rf 57,500 a month.

The special envoy for science and technology, for example, earns Rf 45,000 a month, while an assistant professor under the CSC makes Rf 20,920 a month.

Press Secretary for the President’s Office, Mohamed Zuhair, said although political appointees get a higher salary, civil servants have better job security “since they have unlimited tenure.”

On the other hand, he said, political appointees can serve a maximum of ten years in their post, “unless they keep jumping parties,” since a government can only hold two five-year terms.

“A political appointee will fall with the government,” Zuhair added. “But a civil servant can serve for forty, fifty years.”

He said political appointees also have a more authoritative role than civil servants, justifying a higher salary: “If they are not in an authoritative role, how can they be effective?”

Zuhair said political appointees comprise less than two percent of the civil service, and they are the ones “who supervise and ensure the civil servants do their jobs.” Hence, they deserve a higher salary, he added.

Additionally, he said, not all political appointees are “appointed. Some of them are elected.”

One of President Nasheed’s campaign promises was reducing the “top-heavy” government by reducing the number of political appointees, and according to Zuhair, there are fewer political appointees under this government than the previous one.

Minivan News reported in April last year there had been 440 political appointees under former president Maumoon Abdul Gayoom’s government, and at the time, there were 538 political appointees under President Nasheed’s government.

Zuhair told Minivan News today that when the civil service was created in 2007, the former government transferred many of its appointees to posts in the civil service “so in case they lost the election, they still have many people with them.”

He added the former government was “not counting right” and their numbers “weren’t technically correct,” as they had everyone, including muezzins, working for them as political appointees.

In mid-March 2010, Independent MP Mohamed Nasheed requested a list of political appointees and their salaries from the Ministry of Finance, to clarify exactly how many appointees were working under the government.

Another of President Nasheed’s promises was to reduce the civil service and thus reduce government expenditure. The health sector is one of the first industries to go through this transition.

Member of the CSC, Mohamed Fahmy Hassan, said there have been many posts which have been abolished from the CSC and transferred to independent institutions, such as TV Maldives and and newly formed Maldives Health Services Corporation.

“The number of civil servants will be less now,” Fahmy said, “but the question is, how do you define public service?”

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MP sends first proposal to amend Constitution

MP for Dhaal, Kudahuvadhoo, Ahmer Amir, sent the first proposal to Parliament to amend the Constitution, reports Miadhu.

Amir proposed to amend Article 231 (c) which stipulates local council’s term shall be of three years. He proposed to change it to a five year term, arguing that having elections every three years would be very costly.

This is the first proposal for amending the Constitution of the Maldives since it was adopted in August 2008.

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US Pacific Command visiting the Maldives

President Mohamed Nasheed met with the National Security Act Assessment team of the US Pacific Command who are visiting the Maldives.

The meeting took place at the President’s Office yesterday, where they focused on formulating a national defense and security plan.

President Nasheed said the main areas concerning national defense and security are terrorism, piracy in the Western Indian Ocean and drug trafficking.

The US Pacific Command, led by Army Attaché to Sri Lanka and the Maldives, Lieutenant Colonel Lawrence Smith, said they would assist the Maldives in further strengthening the national security framework.

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